Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1887-05-19
INTER STATE LAW.
MEETING OF rHR COMMISSION IN
WASHINGTON.
testimony Against the Fourth Section
Judge Cooley Defines the Powers Of
the Commission in Certain Cases.
by telegraph % the pisnstch.l


to-day 20 hearing arguments upon the ap-
piicston Of the Queen and Crescent rall.
way system for The permanent suspension
Of ihc fourth section Of the Interstate
commerce law.
John {. Gault general manager OF the
system, FIRST addressed the commission.
lie described the line Of the Quccn and
CrCsctnt roads, pointing out Is general
PROXIMITY 10 The Mississippi nver and
other water routes. The system, he said,
had considerable business which il would
like 10 retain, and 20 ibis end he hoped TO
obtain permanent relief from water compc'
iilion.
Chairman Cooley inquired at what
points they sought relief. Mr.. Gmlt
replied that they wished TO be relieved
from this competition wherever u Affected
the system. lie read a petition prepared
by officers Of tho road setting out the eff
feet Of water competition in reducing
cotton rates. with q view 10 demonstra-
ting the justice Of their request to have
the temporary suspension made pcrma.
ncni. 10 was stated I'm the paper that the
practice 81 the steamboat line hal been 20
make daily such rate, n may be necessary
L. enable them 10 secure traffic. The chief
ground for asking relief arises from the
fact that the roads desire 10 participate to
a certain extent in This traffic, which they
cannot afford 10 DO II they are required %
reduce all Of their rates in proportion TO
tho necessary 20 mcot water competition.
Chairman COOLEY n>t ed n. IN fixing rates,
any account was taken Of the effect upon
towns. or were they fixed simply IN the in.
icrc>' az The roads. SOmd1ing had been
said about competition rs the reason why
the rates should boz cut down. Mr.. Gault re.
pied hat his road bro little 10 do wiihfiXmg
ISt,s; that was done by the Southern Rail-
way Association. lie did not wholly approve
the system That governed the regulation OF
these raiC,. lie believed In fixing rates
that would ociust 90 all, and said be would
rather have dozen thriving towns on his
road Than large cilCs. Bis road was will.
ing and anxious ~ give the law a fair trial,
and only asked 10 nc relieved from water
competition. That meant the ohio and
Mississippi river, chiefly.
Ia answer y Commissioner Bragg the
speaker explained by illustration his reason
for holding that system Of fixing the rates
followed ~ the southern Railway Assoc
ciatiOn, which made every local station
competitive poini. resulted in very much
higher rates. and was characterized in some
cases by stupidity.
10 The chairman Mr.. Gqult said that
even II Their request was granted his com.
plny did not propose 10 make any local
rate between Cincinnati and Atlanta higher
than through rates. Cotton was, be sud.
about the only interest, he thought, which
bad been favored with special rates. The
road. would be glad 10 include pig-irou
nm ne special arrangement, making the
rates dependent upon the market prices OF
mon. This could Ice done without yiO-
laiug the lGngand-shOrt.h haul clause. lie
j.d not believe tIat any special concession
was necessary To- develop the large lumber
industry ~ The South. Lumber was IN
-i,., C,w7hd in the North, and business
Vs.. constantly increasing. Michigan car.
Iui.ccr> consumed great quantities OF it.
Uc Cid not think that there was anything
thsi p--lrOu or iumbormcn need worry
about 10 $40.
The chairman inquired If The rates were
fixed with relation % their effect upon the
interests Of particular towns.
NJ. Glult: The management Of SOUTH
cm roads hl, been wise. Tue system Of
rates 3, peculiar TO- the south. When the
country wos f. poverty, after the war.
planters had 20 borrow money to put in
tncir crops. LARGE towns made loans. and
through that advantage were enabled ID
control The trade and acquire the benefits
of l0w rates.
Chairman: But you think the time has
come wien that system should cease?
Nh. G1ult: lc-.
Chairman: lsth,rc no other competition
than water competition That would Justify
the intervention Of the c0mmi>,iOns sup
pose q state read free from the jurisdiction
u 'he commission should push an inter.
state road. suppose the interstate road
WIS oD ihe border Of Canada.
M. Gault: Where there are no water
rates. We would not ask for relief. ! Ciu't
,pok adyi>cdly VITA reference to Canadian
competition, bat my general belief j. that
v here there were otter elements LeyOud
water I.ilic i'm the competition the road
b no ri2ht tOask for relief. II compete
.UI> aid business at a CHEAP rate. the road
Should don't as cheaply. ] desire to be un-
io-tood tbdi do not anta20nize the petit
ton, Uut in by other southern railroad
Companies.
Chairman; The commission does not 50
understand that YOU have endeayored 10
10 any such thing.
EoYr. sentative Cabcll, OF Virginia, ap-
.,.icd for The Board Of Trade Of Dlnvilc,
I., aud made compliant against the Rich
IOud and Dlny.lle railroad. Since that
Dad had acquired control OF the Virginia
Midland hc ,ajd the rates had been greatly
.OSauoed, and toe interests OF the town
u.uod. The board charged that the
richmond and DauNiilc, The virginia Md.
and. and other western and northern con-
lccii0u- have violated the first, third, and
.thcr sections OF The inter- State law by
means OF direct and indirect draw
ach4 i'm favor ol other places and |
qainst Dlnyillc, and 10y charging !
tber points less for long haul taan was |
hafgCd 10 DanYllle for the short haus. |
request, f0I q suspension Of the fourth |
cotton came mainly from railroad cOrpO- |
aiiouS, ~ hich II WAS me intention Of Con-
.Tc,S a. curb i'm the interest Of the people.
lnc grant of such claim would be- a pre-.
cdni for further demands, and the law
,scli, which Wss reasonably clear and fair,
you'd Dee conNCTod into measure for the
! precision Il those whose right, il was in
.rdcd to protect
Whom Mr.. Cabcl had concluded It was
j-,o.ted th4t DBL. general charges should
r puj IN specific form. 80 tlat the commits
iona might deal with tuem. The hearing
be, then closed for the day.
POWERS or THg COMMISSION DEFINED.
WASHINGTON, May 1S.-Iu reply to an
pplcatiou from the general traffic mana
"a Of The Minnesota and Northwestern
,aiiroad Company for a suspension OF the
IuIih section Of The interstate commerce
w, Judge Cooley, chairman Of the Inter-
tate Commission, has written him a long
tier defining the powers OF the commits
ION in certain cases, and explaining why it
iu,l hold hi, application for some further
me under AMUSEMENT. Tue salient fea-
lIos Of The letter are q, follows:
The fourth section OF the act 10 regulate
commerce was intended TO establish a gen.
rd lass that more should not be charged
u transportation for a shorter than for a
niger haul over the same line in the same |
ERECTION under Circumstances aud cOndi. |
OBS substantially similar. Congress, in
l,sihg the act. must Dee understood 20 have !
'tcTIuinCd That any incidental injuries
at might flow ifOm the enforcement Of the
neral rule would be more than counter
danced by resulting benefits. The COM
i,siOu, of course, does nOteXpect TO queS-
)n the correctness ~ This determination,
lt 10 cniOire, 50 far as il may
n within It, duty to do 50.
he act nevertheless cOntemptates that
ere may be cases in which public interest
in be sutseIYtd by ,uspending the gene
= r..le so far % 10 except such cases from
operation. The commission will not at
r. time enter upon critical examination
The provision which was made for such
spenson, but Il may be useful 10 call